93% of technology companies in the UAE intend to expand

New results from the annual survey conducted by Equinix, which is listed on Nasdaq as EQIX, and which targets technology decision makers, reveals that the trend towards a less connected world is still far from the plans of digital leaders in various sectors and geographical areas . Despite concerns about a possible recession coming to the World Economic Forum in Davos over the end of globalization, it appears that companies remain committed to their international expansion plans.

93% of UAE IT decision makers surveyed by Equinix’s Global Technology Trends 2022 survey find that their companies intend to expand over the next 12 months, either in a completely new region (66%) or in a new country (47%). new city (43%).

The potential of the cloud has been around for a long time, but its capabilities are now really tangible. 48% of UAE IT decision makers planning to expand are likely to start by virtualising cloud services in the short term and then building a permanent physical infrastructure in the new market, and 44% of them said they are expanding with existing teams.

Firms have identified a number of factors that could hinder international growth, particularly supply chain challenges. Worldwide, 59% of decision-makers surveyed said their companies suffer from global supply chain problems and shortages, while 58% believe the global chip shortage threatens their business.

These persistent supply chain problems appear to reinforce the need for more virtual machines, with growth aspirations and large-scale planned investments in digital infrastructure. (40%) of UAE respondents said they intend to facilitate global expansion plans through virtual deployment via the cloud, and (37%) of them would do so using a computing solution without an operating system.

More than half of UAE IT entrepreneurs (53%) said they were accelerating their businesses’ digital transformation due to the COVID-19 crisis. In fact, more than half (57%) said their IT budgets had increased as a direct result, reflecting the current need for a robust digital infrastructure to keep up with changing business needs. The majority of respondents (55%) also believed that the technological changes and investments made during the pandemic continue to exist.

In this context, Kamel El Taweel, Managing Director of Equinix MENA said: “It is clear that the post-pandemic economy is currently taking shape as companies overcome the challenges of COVID-19 and accelerate their business recovery. It embraces a digital strategy and views technology as a dynamic force that transforms business. The Global Technology Trends Survey reveals that IT decision-makers in the UAE consider accelerating innovation, business digitalisation and the shift of IT infrastructure to the digital edge to be the top priorities in their technology strategy. Digital pioneers are now taking advantage of these exciting opportunities to empower their companies and support their growth aspirations. ”

The following questionnaire showed:

Technology leadership for business: 86% of UAE IT decision makers consider accelerating innovation, digitizing business and moving IT infrastructure to the digital edge as the top priority in their technology strategy.

Continue to migrate to the cloud: 59% of IT leaders say they plan to move more business functions to the cloud, and 64% plan to move their database and security functions to the cloud.

The dominance of private cloud: Private cloud models were the preferred approach for 42% of respondents, and 31% of digital leaders in the UAE adopt hybrid clouds. The need for interconnection continues, with 39% of respondents seeing it as improving distributed security, while 39% also use it to enable peripherals.

Investing in Innovation: Many IT leaders seek to strengthen their businesses and take full advantage of advanced technologies such as 5G, the Internet of Things and the Web3. Eighty-five percent of respondents said they would adopt an “all as one service” model, either to simplify their IT infrastructure (61%), improve flexibility (53%), or the user experience (48%).

Focus on sustainability: As they continue to innovate, digital leaders place importance on the sustainability of their IT infrastructure. 85% said they measure the environmental impact of their IT equipment and try to reduce it. 82% see sustainability as a key focus for their companies and are committed to science-based goals.

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